Analyst: Biggest Challenge to Economy Isn’t Congress, It’s…

10/9/2013 10:52AM

The budget fight in Washington is getting all the headlines in the market, but there are bigger issues for investors on the horizon. Nuveen Asset Management chief equity strategist Robert Doll joins MoneyBeat.

This transcript has been automatically generated and may not be 100% accurate.

... and ... budget fight in Washington is getting all the headlines in the market but the bigger issues for investors ... are the profit picture and economic growth in both right now ... right now they look a little the murky says our next guest at Nuveen Asset Management Bob's father Doll Nuveen Asset Management's ... Bob Doll ... chief equity strategist LRA things going on the show today ... appreciated ... so he and everything in the marker as Washington Washington want or ... VAT dust is going to saddle ... accompanist only when right eye and tell you when you have ... ah but you look we expected to happen yes how bad is it ... the bigger issues though still of the economy's fundamentals of wordy go with the ... well was connected to move for starters the fundamentals do not get better during this period of uncertainty ... and soul in the hope that things are getting a better get pushed back to the extent this last longer period of time and the good news as you know prior to Washington being the front page every day ... What's leading economic indicators here in many places outside the USB key and a couple of them I hope this doesn't damage that ... beyond that we're still a nice sluggish ... muddle through the Continental think that's going away anytime soon ... there's some reasons lol but I think things like it'll be ok ... business capital expenditures ... beginning to pick up the PMI surveys ... the really key want to kill him and talk and ask for one another for a long time looking for a year a long time when for businesses to start literally spending three people on board Katie had happened correct then it's all about confidence in doing your image and certainly ... certainly their many projects that have great greats returned and certainly businesses have ... that balance sheets and many many cases the casting out quite fond of right and so we need a little more confidence less on Cerny in Washington things not help now but I think will get a LaVette more ... because cap ex ... is normally on Lunch above depreciation elsewhere little above the kitchen ... where getting continued I use the phrase less bad news out of Europe and thats an uptick from were were few months ago ... and I think China shuts owing more Morse signs of stabilizing ... I'm a is a great on the table but the downside is slowly receding can I say it that way for ... the lead together at the builder from them in China obviously is slowing down ... is due to its around that the issue is is going to slow down or crash to hope that this blog or write ... a ... you know you you talk to clients all the time right ... they're obviously a million possibilities write anything can happen Washington could really go nuclear proverbial nuclear ... but but you go to the probabilities right ... when you telling your client or the probabilities of one point ... and that that the pub we still think and hope this is not naive the probability of a major problem on the debt ceiling and defaults is as close to zero as possible more assuming cooler bids will prevail at eleven fifty nine pm or even Tesla night as OPEC but will still be held at a high in the fiscal cliff had zero idea as to when the same can happen in a world were told by politicians that it's October seventeen ... at that is your folks in the reporting is on October seventeen as it's the least October thirty one and passed after some flexibility to answer for certain parts so ... if that's the case back to worry started his interview ... this will clean up ... the government shutdown thing is the eighteenth time it's all about politics that will settle down ... and we just hope it doesn't do any damage to their big differences between two thousand eleven ... then the budget deficit was going straight up melts going straight down ... debt to GDP them was going straight up malice flat write one word about a debt downgrade which eventually happen now it's not really a threat so ... this isn't always able to focus on higher earnings season has started we make of that we mean corporate profits ... the consensus I'm noted Greece and disagree with is looking for two to three percent profit growth ... in this quarter that's hardly the stuff of major bull markets right out of the means with gold down on the stock market necessarily ... but I think with the Fed ... having passed the point of major help to key is in the next notable more for the stock market is going to be um I think it will be is gonna require visibility ... on stronger revenue and earnings growth meant that two or three percent